The beer market dynamics in Russia is approaching zero, yet major brewers are divided into those who developed considerably in 2017 and those who considerably reduced their volumes. For instance, company Efes has managed to substantially extend their sales due to restrained pricing policy and activity in the modern trade. Heineken has also demonstrated an excellent performance promoted by significant increase of advertisement budgets launching a non-alcohol sort of the title brand and unusual activity in the economy market segment. Carlsberg and AB InBev have been focusing on margins and lost a market share of their inexpensive brands. Serious dependence on PET package and mass enthusiasm about Zhigulevskoe have negatively impacted the most of big regional brewers, that have been for the first time pressed by the leaders in the key sales channels, especially in Volga and Central regions. In the small business there has been a noticeable slowdown in appearing of new restaurant breweries, yet the number of craft breweries has been growing rapidly. In 2018, the beer market is likely to grow a little, while the share of AB InBev Efes may decrease due to the integration. ...
“Catalogue of Russian Beer Producers 2018” includes 1070 businesses ranging from large subsidiaries of international companies to rather small restaurant and craft microbreweries.The catalogue includes 32 large breweries, 75 regional breweries, 693 industrial mini- and microbreweries as well as 270 restaurant breweries. ...
Global hop marketA local alternative to mass beer suggested by independent brewers has been successful and is now altering the global market. Beer is becoming more diversified, so transnational companies have to accept the new game rules and to switch focus to young and fast growing markets. All these processes increased the demand for aroma and bitter hop as well as their acreage expansion on two continents. However now there appeared a downward trend of alcohol consumption in the world, so even special sorts can soon turn to be sufficient. In this connection the dynamic American hop market is already facing some problems. EU hop producers have become more cautious, they are not racing to exceed the demand and look forward with more confidence, judging by the contract terms.
Hop Market in RussiaGermany still dominates the Russian market, yet over the recent two years one has been able observe a continuous success of Czech hop suppliers. Their expansion and growing popularity of hops from the United States became the drivers of supplies growth in 2016 despite the preceding modest harvest crop in the EU, as well as the factor of relative stability in 2017. In this connection, in 2017, the ratio of the varieties continued to shift towards the aroma ones, and the supplies of Magnum hop and other alpha varieties were reduced. However, the import of bitter hop pellets is partially replaced by extracts, especially from the major beer manufacturers. Total volumes of alpha acid supplies, according to our estimation, decreased by approximately 5% and returned to the level of 2015. Barth Haas Group continues dominating the hop products market; HVG also increased its weight. At the same time, Morris Hanbury significantly reduced the supplies in 2017.
Trade Show Duo meets rising demand for processed and packaged food and beverages in India
One of the largest markets for packaged food in the world,
The packaged food industry is the fifth largest sector in India. The Indian packaged food industry is worth 39.7 billion USD and is expected to reach 65.41 billion USD by 2020. With a sales volume of 30 million tonnes in 2013, India is one of the largest markets for packaged food in the world, just behind the US, China, Brazil and Mexico, and the second largest in Asia. But with a per capita consumption of 24 kg per year the Indian packaged food market is still at an early stage.
The fourth largest sales market for beverages in Asia
With a consumption of 22 billion litres of drinks (alcoholic drinks and soft drinks) India is the fourth largest sales market for beverages in Asia. Soft drinks are the largest segment. The Indian non-alcoholic beverage market was growing at an annual compound growth rate of 23 percent between 2010 and 2013 as more and more people are choosing packaged soft drinks. Within the soft drinks market bottled water is the largest category and the demand will double until 2017. Packaged juice shows also a strongly increasing demand. It is expected that the consumption of juice in India will rise by an annual compound growth rate of 20 percent until 2017 up to 1.2 billion litres.
Shifts in the Indian food and drinks industry
With more than 50 percent of the population younger than 25 years, increasing disposable incomes, a growing middle class, ongoing urbanization, changing lifestyles and a rising number of modern retail formats like supermarkets, the country enjoys highly favourable demographic patterns. These will enable shifts in the Indian food and drinks industry, as the young people are one of the key drivers in the demand of processed and hygienic packaged foods. Manufacturers are continuing to introduce products that increase convenience and reduce the time required to prepare meals. Products with additional ingredients - in easy to handle packaging and convenient package sizes - will continue to gain popularity.
The Indian middle class is growing rapidly and they simply love to buy. They are on the lookout for premium brands, especially for confectionery products like chocolate. But the premiumisation trend is not only noticeable in chocolates but also in biscuits. These trends are expected to continue even years from now.
Rural India provides growth opportunities
Rural India provides growth opportunities for packaged food and beverages. Almost 70 percent of the Indian population live in rural regions. The rural population benefits from investment in infrastructure and rising wages. Food processing companies are realizing the potential of rural India and are trying to expand their presence in these areas. They are launching their products in smaller pack sizes and at low price points to attract consumers. As India's soft drinks market is slowly reaching maturity in urban India, rural India is the new target for most of the manufacturer of soft drinks.
High growth rates for food and beverage expected
All these developments result in a continuously growing demand for packaged food and beverages in India. It is expected that the demand for packaged food in India will rise by an annual compound growth rate of 6 percent to reach an amount of 37 million tonnes by 2017. The beverage consumption will grow by an annual compound rate of 15 percent to reach an amount of 38 billion litres in 2017.
Growing demand for state-of-the art processing and packaging technology
To meet the rising demand for processed and packaged food and beverages, companies have to expand their production, and as a result the demand for state-of-the art processing and packaging technology will grow. Export oriented manufacturers in particular favour high-tech solutions in order to meet the international standards and to be competitive.
An overview of India?s beverage and food industry including statistics of machinery imports and exports is available at
Successful trade show double feature:
International PackTech India and drink technology India
drink technology India is being held for the third time in conjunction with International PackTech India. Both trade shows will take place under one roof in Mumbai at the Bombay Exhibition Centre from 25 September until 27 September, 2014, and present solutions for the international packaging, package labelling, processing, food and beverage industries. The organizers of this successful trade show double feature (Messe D?sseldorf for the International PackTech India and Messe M?nchen International for the drink technology India) expect about 260 exhibitors from all over the world and around 8,500 trade visitors from India and neighbouring regions.
Together these two strong partners present a unique platform. In 2014, both drink technology India and International PackTech India are going to intensify their portfolio by covering the food sector, too. Thereby the trade fair duo offers a top market place gathering two industries at one place: India’s beverage and food as well as packaging industry.
VDMA: Conceptual Sponsor
The VDMA Fachverband Nahrungsmittelmaschinen und Verpackungsmaschinen (Food processing and packaging machinery association) is the conceptual sponsor of the drink technology India and the International PackTech India, and KHS, KRONES, PENTAIR, SIDEL and SIEMENS are official partners of the drink technology India.
18 Jun. 2014